New Ethiopian Leader's Challenge: Unleash the Economy

Ethiopia’s new leader faces a critical decision on whether to open up parts of the Horn of Africa nation’s booming economy after making moves to reduce the stake of the military, former Prime Minister Hailemariam Desalegn said.

Premier Abiy Ahmed inherited what the International Monetary Fund ranks as Africa’s fastest-growing economy when he took office in early April. But he also confronts the biggest challenges to the ruling coalition’s power in a quarter-century as sporadic unrest against its authoritarian rule and inter-communal violence threaten the federal structure of Ethiopia, a U.S. ally in its battle against Islamist militants in the region.